Research Predicts Blockchain Market to Reach $5,430 Million Globally by 2023
Allied Market Research, a market research and business-consulting wing of Allied Analytics LLP, published a new report. According to “Blockchain Distributed Ledger Market by Type and End User: Global Opportunity Analysis and Industry Forecast, 2017-2023,” the Global Blockchain Distributed Ledger Market accounted for $228 million in 2016, and is expected to reach $5,430 million by 2023, growing at a CAGR of 57.6% from 2017 to 2023. In this, North America accounted for the most revenue, with Europe coming in second.
Factors that resulted in this growth were noted as including minimal transaction fees for blockchain apps, removal of third parties from transactions, and more security to combat fraud and identity theft. The report found that private blockchain are the leading segment in the global market. This is expected to continue, although public blockchain is also expected to grow significantly.
The Banking, Financial services and Insurance is the leading sector and is forecast to maintain this. Recently governments, central banks, private banks, and online banks of all types have shown a great deal of interest in distributed ledgers and block chain technology. Geographically, North America is the most dominant region, primarily due to the number of key companies in the region and this is not expected to chnge. However, a significant growth is expected in Asian countries such as China, Japan, South Korea, and India.
Himal Srivastava, Research Analyst for Semiconductor & Electronics at Allied Market Research, noted: “The blockchain distributed ledger market is in its early stage of growth. Blockchain-based solutions are projected to be adopted earlier in some industries such as financial services and the supply chain industry as compared to many other industries. The blockchain technology addresses security in areas including insurance, law, and data security by validation of the information in the blockchain ledger. Exponential increase in data is expected to facilitate more R&D activities leading to increased competition in the market.”
Large global companies such as Chain Inc., IBM Corporation, Accenture PLC, Eris Industries, Intel Corporation, Deloitte, Blockchain Tech Ltd., Microsoft Corporation, Digital Asset Holdings, and Earthport have adopted new technology launch as their key strategy to expand their market foothold.